McDonalds Coffee or Starbucks?

McDonalds is officially launching its McCafe Advertising Campaign. They’re certainly going after Starbuck’s base of loyal customers. Recently, Branding Magazine, noted that Starbucks was one of the strongest recognized customer manufacturer names over the last 10-years, each and every year it ranks within the top five and has held the number one spot for several many years. It appears that McDonald’s would like to propel its manufacturer and ride on the trendy consumer ritual of a latte driven society.

The other day readers saw two full page ads within the New York Times for “Starbucks High quality Coffee” and it looks as if there’s a war heading on as McDonalds, Duncan Donuts, and others offer premium choices and put up billboards “Why Pay 4 Bucks” in Seattle and LA were put up by Starbucks rivals in late 2008.

Starbucks originally didn’t answer the attempt to this re-branding attempt by the competition, but now they really feel they have as well. Will McDonalds be able to capture some of that market share? It’s difficult to say, as some of their franchisees have complained about the upgrade expenses, upwards of $120,000 for the McCafes inside the quick food restaurants, so there’s a little bit of internal anger there, which isn’t great for a franchise system.

Meanwhile we see Duncan Donuts also carrying higher end coffee, and several premium coffee distributors working to capture some of the house coffee drinkers who frequently brew up their own Starbucks Coffee at home. Apparently, it is war, and so, let the coffee brand war start!

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